New taxi service apps for smartphones such as Uber and Lyft are all the rage right now. For those who are unfamiliar with the apps, they allow you to match up with drivers in your area whenever you need a ride. The app will automatically charge your pre-entered credit card to make for a quick, easy transaction. They typically charge less than regular taxi services, and are quickly growing in popularity. Transportation network companies can be quite convenient for passengers, but cause a bit of a problem when it comes to auto insurance.
Did you know that insurance companies around the country, including Wisconsin, are beginning to warn drivers who are employed by these apps that they will not be covered by their personal auto insurance policies? If drivers receive compensation for transporting an individual from one place to another, they will need to purchase a business auto insurance policy, or something similar. This dramatically increases the risks drivers for apps like Uber and Lyft take each time they pick up a passenger, as they are putting their personal property on the line.
If you are a driver for one of these companies, you should speak to your insurance agent right away and let them know about any changes to your monthly mileage, or insurance risk. For any questions about auto insurance in Wisconsin, contact one of the top insurance agencies in the state. Serving the Waukesha, Mukwonago, Muskego, Pewaukee, and Milwaukee areas, The Bob Wolfgram Agency has been a part of the insurance industry for over 30 years. We offer many forms of insurance including auto, home, life, recreational vehicle, umbrella, and more! As an independent insurance agency, we can help you find coverage for any risk. Please don’t hesitate to give us a call, today! We are overjoyed to help you with all of your insurance needs.